The purpose of the study was to evaluate the effect of an Ayurvedic formulation Varanadi kashayam to inhibit pancreatic lipase activity in-vitro. It also focuses on antioxidant activity, total phenol, flavonoid and phenolic acid content of fractions of Varanadi kashayam and HPTLC fingerprinting of fractions. Methods: Fractionation of Varanadi kashayam was done by using five solvents of increasing polarity. Qualitative analysis of phytochemicals and quantitative determination of phenol, flavonoids, and phenolic acids were determined by standard protocols. The antioxidant activity of fractions was measured by DPPH and ABTS scavenging assay through spectroscopic analysis. The anti-lipase activity of fractions of Varanadi kashayam was determined by using porcine pancreatic lipase as enzyme and p-Nitrophenyl palmitate as substrate. HPTLC analytical method was used for the determination of compounds presents in polyherbal formulation Varanadi kashayam. Results: Ethyl acetate fraction of Varanadi kashayam showed free radical scavenging activity with IC 50 values close to that of BHT and quercetin standards. The amount of phenol, flavonoid, and phenolic acid was also found to be highest in ethyl acetate fraction. This shows the relation between antioxidant activity and polyphenol content of fractions. The methanol fraction of Varanadi kashayam showed highest anti-lipase activity compared to orlistat standard. This may be due to the high phyto-chemical content of methanol fraction. Conclusion: From the results, it is evident that Varanadi kashayam can effectively inhibit pancreatic lipase enzyme and hence the absorption of dietary lipids. It is a rich source of phytochemicals and antioxidants. Hence, it could be a better remedy to reduce lipid absorption and provide protection against reactive oxygen species. INTRODUCTION: Ayurveda is one of the ancient and living traditions widely practiced in India. Herbal medicines are therapeutically used all around the world; hence these are the oldest form of healthcare known to the mankind.